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CHAPTER-VII INDUSTRIAL PROFILES, IDENTIFICATION AND EVALUATION OF THE BENCH MARKS FOR THE INDUSTRIAL RELATIONS IN THE ORGANISATION UNDER STUDY 7.1 BHARAT HEAVY ELECTRICALS LIMITED (BHEL) A Brief Introduction In the post independence era when India was moving towards industrialization, the major thrust of the Government was in the core sector (Public). With this objective, Heavy Electrical (I) Limited was set up in BHOPAL in August, 1956 with a view to reach self-sufficiency in Industrial products and power equipments. This plant was set up under technical collaboration of M/s AEI, U.K. Three more plants were subsequently set up at Tiruchy, Hyderabad and Haridwar with Soviet and Czechoslavkian assistance in May 1965 and Jan. 1967 respectively. As there was a need for an integrated approach for the development of power equipment to be manufactured in India. Heavy Electricals Ltd. Bhopal was merged into BHEL 1974.
Transcript

CHAPTER-VII

INDUSTRIAL PROFILES, IDENTIFICATION AND EVALUATION

OF THE BENCH MARKS FOR THE INDUSTRIAL RELATIONS IN

THE ORGANISATION UNDER STUDY

7.1 BHARAT HEAVY ELECTRICALS LIMITED (BHEL)

A Brief Introduction

In the post independence era when India was moving towards

industrialization, the major thrust of the Government was in the core sector

(Public). With this objective, Heavy Electrical (I) Limited was set up in

BHOPAL in August, 1956 with a view to reach self-sufficiency in Industrial

products and power equipments. This plant was set up under technical

collaboration of M/s AEI, U.K.

Three more plants were subsequently set up at Tiruchy, Hyderabad

and Haridwar with Soviet and Czechoslavkian assistance in May 1965 and

Jan. 1967 respectively.

As there was a need for an integrated approach for the development of

power equipment to be manufactured in India. Heavy Electricals Ltd. Bhopal

was merged into BHEL 1974.

207

BHEL has now become the largest Engineering and Manufacturing

Company employing about 52,000 employees. It's headquarter is located at

Delhi and there are 14 manufacturing units.

BHARAT HEAVY ELECTRICALS LIMITED JHANSI (UNIT)

A Brief Introduction

By the end of 5th five years plan, it was envisaged by the planning

commission that the demand for power transformer would rise in the coming

years. Anticipating the country's requirement, BHEL decided to set up a new

plant, which would manufacture power and other type of the transformers in

addition to the capacity available at BHEL Bhopal. The Bhopal plant was

engaged in manufacturing of transformers upto 50 KVA. 132 KV Class and

other transformers like Instrument Transformers, Traction transformers for

Railway etc.

This unit of Jhansi was established about 14 km from the city on the

N.H. No. 26 on Jhansi-Lalitpur road. It is called second generation plant of

BHEL and was set up in 1974 at an estimated cost of Rs. 16.22 crores

inclusive of Rs. 2.1 crores for township. It's foundation was laid by Late

Mrs. Indira Gandhi the then Prime Minister on 9th Jan 1974. The commercial

production of the unit began in 1976-77 with an output of Rs. 53 lacs.

This plant of BHEL is equipped with the most modern manufacturing

processing and testing facilities for the manufacture of power, special

208

transformer and Instrument transformers, Diesel shunting Locomotives and

AC/DC Locomotives. The layout of the plant is such that it is well

streamlined to enable smooth material flow from the raw material stages to

finished goods. All the feeder bays have been laid perpendicular to main

assembly bay and in each feeder bay raw material smoothly gets converted

to sub-assemblies, which after inspection are sent to main assembly bay.

The raw material that is needed for manufacture, is used only after

through material testing in the testing lab and with strict quality checks at

various stages of productions. This unit of BHEL is basically engaged at

various stages of transformers of various type and capacities. With the

growing competition in the transformer section, in 1985-88 it under took the

re-powering of DESL. Subsequently it started manufacturing complete

Diesel Electric Shunting Locomotives of various ranges. BHEL has

progressed a step further in undertaking the production of A/C Locomotives

for Indian Railways. And subsequently it is manufacturing AC/DC

Locomotives also.

BHEL Objectives

A dynamic organization is one which keeps its aim high, adapts itself

quickly to changing environments. So here we are in BHEL.

The objectives of the company have been redefined in the corporate

plan for the 90's.

209

Business Mission

To maintain a leading position as supplier of quality equipment, and

services in the field s of conversion, transmission, utilization and

conservation of energy for application in the areas of electric power,

transportation, oil & gas exploration and industries.

Utilize company's capabilities and resources to expand business into

areas and other priority sector of the economy like Defence, Communication

and Electronics.

Growth:

To ensure a steady growth by enhancing the competitive edge of

BHEL in existing business, exploring new areas and international market as

to fulfill national expectation from BHEL.

Profitability:

To provide a reasonable and adequate return on capital employed,

primary through improvements in operational efficiency, capacity utilization

and productivity and generate adequate internal resources to finance the

company's growth.

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Focus:

To built a high degree of customer confidence by providing increased

value for - money through international standards of product quality

performance and superior customer service.

People Orientation:

To enable each employee's to achieve his potential, improve his

capabilities, perceive his role and responsibilities and participate and

contribute to the growth and success of the company.

To invest in human resources and continuously and be alive to their

needs.

Technology

To achieve technological excellence in operations by development of

indigenous technologies and efficient absorption and adoption of imparted

technologies to suit business and priorities and provide competitive

advantage to the company.

Image

To fulfill the expectations of stock holders like Government as owner,

employees, customers and the country at large have from BHEL.

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BUSINESS AREAS

BHEL covers a wide area of Business. These areas are mentioned

below.

Power:

Provide a gamut of equipment for Thermal Hydro and Nuclear Power

Plants. Range includes products and systems for power generation,

transmission and utilization.

Transmission:

BHEL is manufacturing transmission equipment for all voltage ratings

including the 400 KV class transformers, switchgears, control and relay

panel, insulators, capacitors and other substation equipments.

Industry:

Offers a comprehensive range of electrical, electronic and mechanical

equipment for a host of industries like fertilizers, petrochemicals, refineries,

paper, sugar, rubber, cement, coal, steel, aluminum and mining.

Transportation:

BHEL offers a variety of transportation equipments to meet the

growing needs of the country. 65% of Indian Railways are equipped with

BHEL manufactured traction equipment. Underground metro also runs on

drives and control supplied by BHEL. BHEL has taken up the manufacturing

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of Locomotives to provide a pollution free transportation. BHEL also offers

a battery operated Passenger Van provided to Delhi Government.

Oil and Gas:

Equipment for oil and gas exploration and transportation is

manufactured by BHEL. The range covers super deep drill rigs, mobile and

desert rigs with matching drew works and hoisting equipment.

Non-Conventional Energy:

BHEL is playing a vital role in helping to harness the vast renewable

source of solar, wind and biogas energy. BHEL has supplied several water

heating systems, wind mills, biogas generators and photo voltaic system.

Tel-Communication;

BHEL has entered the field of telecom with electronics PABX system

based on indigenous technology from C-DOT.

Manufacturing Technology:

BHEL has 14 manufacturing plants, which are spread, over different

parts of the country having unique manufacturing and facilities, CNC

machines, turbine blade shape system, system bener. 8000 ton hydraulic

press heavy duty lathe milling machines and many more are available.

213

Research and Development:

A highly talented and experienced team of scientists from the

backbone of BHEL Corporate R & D. A few accomplishments are:

Direct ignition of pulverized coal (DIPC)

Magnetic Hydro Dynamics.

Aerostatic Bearing.

After Sales Service:

BHEL has 8 organised service centers, which are geographically

distributed, throughout the country. It also undertakes power plant

renovation and rehabilitation jobs.

Exports:

The organization commitment to quality has earned a reorganization

from over 45 countries; export order range from equipment to turn key

projects to consultancy services.

Sections of BHEL Jhansi

BHEL has many departments, while production and Administrative

department are separate.

BHEL Jhansi has two main production categories.

1. Transformer Section

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2. Loco Section

1. Transformer Section

In the transformer plant there are ten Bays.

Bay0 These are fabrication shops established in 1978 and mainly,

1&2 Deals with fabrication work of transformers & locomotives.

Bay 3 It is spitted into two parts, half it the machine shop and the second

half is for the Bus-Ducts.

Bus-ducts are used to transfer Electricity from the Generator to the

transformers.

Bay 4 Here the winding work of the power transformers & Dry type

transformers is carried out.

Bay 5 Basically it is core and punch section but in a part of it cast resin coil

encapsulation plant is situated. The coils of dry type transformers

and out steed cut and finally prepared.

Bay 6 It is also engaged in two processes one half is the traction winding

section while the other half is for the traction transformer assembly.

Bay 7 In this bay, the dry type transformers are manufactured and various

types of Insulations are prepared to be sued in the transformers,

Bay 8 This bay was established in the year 1974. It is one of the earliest

bays to set-up. It is involved in the manufacturing of instruments

215

transformers like 132 KV and 220 KV Voltage/Current transformers.

ESP transformers are also manufactured here.

Bay 9 This is one of the largest bay in the unit engaged in the assembly of

power and rectifier transformers. The time taken for assembly ranges

from 412 weeks.

2. Loco Section

The other section, Locomotives department is one of the most

important department in factory. It deals with the manufacture and

production of following types of Locomotives.

1. AC Locomotives.

2. AC/DC Locomotives.

3. Thyristor Type Locomotives.

4. Diesel Electric Locomotives shunting Locomotives (DESL)

5. Diesel Shunting? Engine of various capacities and haulage.

The unique modern available in Jhansi unit are follow:

CNC Cropping line machine

Vapour Phase Drying system.

Computer ICM 6040 and 6080 and IRISH 40/20 with graphic

facilities.

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Bovie frame machining center.

CNC Axle Turning lathe.

Fascine and centering machine.

Whell forcing press.

CNC pipe bending machine.

Human Resource Management in BHEL

1. Induction of Manpower:

BHEL Jhansi at present, has 1974 manpower strength at various

levels. In BHEL the levels are broadly categorised in 3 groups:

1. Executive Cadre

2. Supervisory Cadre &

3. Workmen Cadre.

The induction of workmen and supervisors is done at unit level

whereas in executive cadre it is done at Corporate Level. Various broad

designations covered in the above 3 categories are indicated below:

A. Executive Cadre:

(i) Engineer/Officer E1

(ii) Sr. Engineer/Sr. Officer E2

(iii) Dy. Manager E3

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(iv) Manager E4

(v) Sr. Manager E5

(vi) Dy. G.M. E6

(vii) Sr. DGM E7

(viii) AGM E8

(ix) GM E8

(x) ED E9

B. Supervisory Cadre:

(i) Charge man S1

(ii) Asstt. Foreman S2

(iii) Foreman S3

(iv) General Foreman S4

(v) Executive F/Man S5

(vi) Sr. Exc. F/Man S6

(vii) Gen Exe. F/Man S7

C. Workmen Cadre:

(i) USW A01

(ii) SSW 102

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(iii) Artisan Gr. IV A03

(iv) Artisan Gr. III A04

(v) Artisan Gr. II A05

(vi) Artisan Gr. I A06

(vii) Technician A07

(viii) Sr. Tech. A08

(ix) Master Tech. A09

(x) General Tech. A10

(xi) Executive Tech. A11

However, the induction level in each cadre are defined and is done

only at the minimum level of the cadre. For example, induction in workman

cadre is done at two levels i.e. at 101 for USW/SSW and at A03 for Artisans.

Induction of Supervisory level is one at Charge man (S1) scale and induction

of Executive level is done at Engineer level (E1). In case of workmen and

Supervisors cadres the names are obtained from local Employment

Exchanges or through Act Apprentices. The written tests and personal

interviews are conducted and the selected candidates are issued the offer of

appointment in the regular scale.

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2. Training and Development:

BHEL, Jhansi emphasises on development of its employees on regular

basis. The Human Resource Development department of the unit annually

identifies the training needs of all the employees through line managers. The

calendar of the implant programme is formulated based on the above needs

and programmes on various topics are conducted in the financial year so as

to meet the training requirement. If specific skill is required to be imparted to

certain group of people, who cannot be organised within the unit, these

employees are nominated to out side institutes within the country or abroad.

In Addition to above, the training is imparted to Apprentices (Trade

Apprentices and Technician Apprentices), Company Trainees (Supervisory

Trainees and Engineering Trainees) and vocational trainees from various

institutes in the field such as Engineering, MBA graduates, MCA graduates

etc.

Performance Evaluation:

BHEL Jhansi has well established Performance Evaluation System for

various categories in terms of Annual Confidential Report (ACR). The

various parameters of performance evaluation system are laid down in the

ACR Forms with the marking systems. The total 100 marks are allotted for

performance evaluation. Based on the marks, the grading of the individual

performance is done in the following broad categories:

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Outstanding

Very Good

Fair

Poor

221

7.2 INDIAN FARMERS FERTILIZER COOPERATIVE LTD.

(IFFCO)

INTRODUCTION

Indian Farmers Fertiliser Cooperative Ltd. was set up on Now 3, 1967

as a modest venture with an authorised capital of Rs. 200 crores. It has over

the years, emerged as the singular successful enterprise with its total

investment standing at Rs. 1150 crores. As a cooperative institution it has

grown as a biggest society in the whole of Asia and as an industrial

enterprise it ranks number one in the fertilizer industry in the country.

IFFCO is federation of over 30,444 societies most of them being

village cooperative's spread every 18 States and 3 Union Territories.

Unit Place Annual Production

Kalol North Gujrat 5.445 lakhs tonnes Urea

Kandia North Gujrat 5.197 lakhs tonnes NPK/DAP

Phulpur Uttar Pradesh Ist unit 4.95 lakhs tonnes Urea.

IInd unit 7.26 lakhs tonnes Urea.

Aonla Uttar Pradesh 14.52 laksh tonnes Urea

The success of IFFCO has set up a pace for organizing another

Cooperative organisation on same pattern. In 1980 IFFCO has promoted the

Krishak Bharti Cooperative Limited 'KRIBHCO' with an authorised capital

222

of Rs. 500 crores, with a contribution of 100 crores towards equity of this

new venture KRIBHCO has installed a fertiliser complex at Hazira near

Surat in Gujrat with its annual production 14.52 lakhs tonnes Urea. IFFCO

along with SPIC and Government of India participated in joint venture

project, executed by Industries Chemique De Senegal 'ICS' in Senegal-west

Africa, for production of phosphates acid and solid phosphatic fertilizer.

The market is very competitive and IFFCO has to face stiff

competition from 'Shaktiman' and 'Sardar' in the north, Hindustan Fertiliser

in the east, 'Sardar' and 'Narmada' in the west and Nagarjun fertiliser in the

south.

In addition to fertilisers, IFFCO is selling few industrial products

also.

Vision-2005

The society has formed formality another five year plan titled vision

'2005' for further growth and development and further enhancing the

production by setting up new grass root plants unit venture out side India.

Diverse fiction scheme will also focus an strength earning cooperative

system infrastructure.

ABOUT PHULPUR UNIT

Started Production, 28 Mar. 1981 the fertiliser complex located 34 km.

away from Allahabad at Phulpur on the Allahabad Jaunpur road.

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It is the biggest plant in the world using Naptha as the feed stock.

IFFCO, Phulpur comprises some specific section which directly

indirectly contribute in mass production:

1. Production Department.

2. Technical Department (Training Section)

3. R& D Section

4. Fire and Safety

5. Moti Lal Nehru Farmer's Training Institute.

6. Administrative Block.

7. Transport Section.

Quality Policy

IFFCO Phulpur is committed to achieve satisfaction of its Cooperative

societies, farming community and internal/external customers by

manufacturing and supplying specified quality urea through:

Development of human resources.

Co-operation and team spirit.

Improving technology for enhancing/maintaining productivity and

growth.

224

Creating safe, healthy working conditions and eco-friendly

environment.

Safety Health and Environmental Policy

IFFCO accept its duty to exercise case for the health and safety both

for employees & other who may be affected by operation and also for

protection of environmental. This duty affect every aspect of the business

and it's performance has an importance equal to any other activity.

Through management committee all members of the management

have responsibility for the safety. They are required to use their best

endeavours to protect the health and safety of themselves and others.

Health, safety and environment control at IFFCO starts with planning

and continues through design, purchase, stores, fabrication, construction,

installation, operation and maintenance. They are integral part of each and

every job of operations carried out by anyone directly attached to IFFCO.

In all business decision due care shall be paid to minimise both

consumption of resources and generation of waste.

All practical steps shall be taken to access risk and safety status

periodically for awareness amongst all employees and the public at large by

using expert knowledge of trained and educated personnel.

225

Safety health and environmental control are direct responsibilities of

all level of management and employees and they are considered collectively

as one of the member for their carried development. These responsibilities

must be accepted by each one, who conduct the affairs of IFFCO, no matter

is what capacity he may function.

A resume of health and safety performance shall also find way to

remain in record in the annual report of the society and information of all

concern. Each of these standards cover specific field like paper, plastics,

chemicals automobiles, management systems etc. Five standards numbered

ISO 9000 to 9004 deal with Quality Management Systems. That is, the type

of management system required in a company to ensure uniform quality of

their products and ensure safe and proper working methods while making the

product. Out of these standards ISO 9002 lays down the details of the quality

management system as applicable to our Unit. It covers all activities ranging

from purchase, inspection, testing, processing, packing storage and dispatch.

ISO 9002 System

Under ISO 9002 system all the activities related to quality are to be

clearly written down as documents and the readings and results recorded in

approved formats. What so ever is written should be strictly followed, and

whatever is the actual practice should be clearly written down.

226

ISO 9002 Certificate:

When a company is satisfied fully that they are following their written

procedures & instructions, they apply to an independent certification body.

This body carries out quality audits to verify that procedures are fully

followed and then an ISO 9002 Certificate is issued by them. After issue

also, they will visit every six months to verify that everything is as per

system in order to satisfy ourselves that we are always systematic, we have

to carry out internal quality audits frequently by our own personnel. The ISO

9002 Certificate, once issued, is valid for 3 years and may be renewed for

further periods thereafter.

Training Process

1. Recruitment and Selection (Regular/Adhoc)

2. Promotions

3. Transfers

4. Training/Retraining Report

5. Annual Confidential Report

6. Disciplinary action cases

7. Any other work.

227

TRAINING AT IFFCO

(A step towards individual development) and better job satisfaction.

IFFCO has banked heavily on training programmes for developing

better skills and positive attitude in its employees and also in the cooperative

personnel.

Every IFFCO employee is imparted training on his joining the

organisation. The induction training includes appraisal along with some

topics on management and communication. If required, hand on experience

is also provided so that the employer can undertake the job responsibilities

effectively.

Areas of training can be classified into the following categories

1. Training in company's policies and procedures (induction training)

2. Training in particular skill (Professional/functional).

3. Training Human relations.

4. Training problem solving.

5. Managerial and Supervisory training.

6. Training to consumers/member cooperative staff/office bearer.

228

Specialised Training:

Management Oriented Training.

Fertilizer Marketing Development Institute (FMDI).

Cooperative Rural Development Trust.

Apprenticeship Training.

PERFORMANCE APPRAISAL AT IFFCO

Management has produced different performance appraisal forms for

different categories to analyse the strength and weakness of their employees.

This P.A. System is strictly Confidential for work force 'Non technical &

Technical (Junior/Senior) and middle level (inflectional) i.e. below to F level

P.A. system for above 'F-E-D-E-B grades are separate.

Functions of Administration Department

1. State

2. Horticulture.

3. Guest House.

Function of Personnel Department:

Power of the Functional Department:

1. Recruitment & Selection Department:

229

This Department has kept all power related to recruitment and

selection. But main approving authority is the General Manager of this

company. In this department personnel file related work is done.

2. Establishment Department:

This department has kept all records of employees from appointment

to retirement. We can that R & S department is a part of establishment

department.

3. Industrial Relation Department:

This department has kept all powers of concerning the following area.

Such as-

Wage related problem.

Any type of negotiation

Grievance related problem.

Disciplinary action.

And last to deal court cases (any type related to factory/company).

State Department:

This department has kept all powers related to property of company,

township and land.

230

Guest House Department:

The responsibility of this department is to manage all the function

related to festivals, National Day and to welcome a guest in factory or senior

officer of the company.

Welfare:

The need for adoption of welfare measures as a means to increase the

workers productivity efficiency, to keep up their morale, and for the

maintenance of industrial peace has been realised by all section of society.

But there are two type of requirements of welfare. These are as

follows.

1. Statutory requirement.

2. Obligatory requirement.

Other Facilities:

1. IFFCO provided free transport facility to his employee.

2. A tuition fees is given to the employees for their children.

3. A reward of Rs. 750 for 3 children and a Rs. 1000 for 2 children is

given to the employee at a time of family planning and a seven days

leaves is also given.

4. House building loan is provided to the employee whenever they

needed. Under this condition employee is entitled for loan after

231

discharge of the service of 3 years and the maximum limit of loan is 5

lakhs.

232

7.3 INDIAN TELEPHONE INDUSTRIES (ITI), NAINI

The Naini unit ITI is one of the 5 units having its corporate office at

Bangalore. This unit started functioning in 1971 with objectives to provide

telecommunication equipment's required by the country. It started with

workforce of 455 during 1971-72 which reached upto 4408 during 1998-99.

INTRODUCTION

The Naini unit of Indian Telephone Industries is one of its six units

and is located about 16 kms from the holy city of Allahabad on Allahabad-

Mirzapur Highway. Since its inception in 1971, the unit has been marching

ahead with a stead growth and has achieved the twin objectives of producing

the vital telecommunication equipment required by the country and the

socio-economic development of the region.

ITI Naini is the lead unit which manufactures the complete range of

multiplex equipments for rural, inter-city and intra-city communication

needs of the national telecommunication net work. It has put great thrust on

rural telecommunication equipment by developing and producing indigenous

products like 3-Channel SAX, Single channel VHF and expedious

indigenisation of Multi Access Rural Radio System (MARR) which was

taken up under collaboration with M/S Kokusai of Japan. Simultaneously,

the unit has entered the area of optical fibre communication equipment to

keep pace with the advance in technology and meet the future needs of the

233

country. The unit also manufactures subscriber telephone instruments for use

by DOT.

As the production of modern telecommunication equipment is highly

technology intensive, the unit is backed by most modern Research &

Development Division. The unit has not only raised the production level but

has also improved its profitability by improving productivity, efficiency and

by reducing wastages. While maintaining quality level, the cost of equipment

has been reduced due to ceaseless efforts to improve design and

manufacturing process.

It manufactures complete range of multiple equipments like Three

Channel Sax, Multi Access Rural Radio System, Fibre Optic Equipments

and Subscriber Telephone Instruments used by DOT.

Some of the collaborators of ITI are as under-

ALCATEL France

DESC COMMUNICATION Denmark

NEC Japan

BOSCH TELECOM Germany

ATENDT/Lucent Technologies U.S.A.

ASCOM Switzerland

234

The company has obtained ISO 9000 Certificate for providing quality

products.

Plants

BANGALORE - Corporate Office

RAE BARELI

MANKAPUR

NAINI : Fibecom Unit at Gurgaon attached to Naini Unit

(It has collaboration with France)

PALAKKAD

SRINAGAR, J & K

PROGRAMMES & FACILITIES

1. Community Development Programme:-

We have provided employment to the residents of nearby villages to

raise their social status preferably to those whose land had been acquired for

the construction of the factory. To meet out the social responsibility adult

educational programmes and supply of pure drinking water has been ensured

by the organization for the nearby villagers. Adult educational programmes

were organized during the year 1989-90 to inculcate the sense of writing and

reading amongst the villagers. Free immunization camps were also organized

235

in our hospital and our doctors have visited nearby villages to immunize the

children against viral diseases.

2. Family Planning Programmes

3. Worker's Participation In Management

The unit has given full participation to the worker's representatives in

the following:

a) Sports Council

b) Welfare Committees

c) Provident Fund Committee

d) Canteen Management Committee

e) Committee for the award of the Best worker to the workman for

outstanding performance each year.

f) SC/ST Cell constituted for the welfare of SC/ST

g) Death relief fund committee

h) House allotment committee for workers.

4. Emphasis On The Use Of Hindi

5. Sports Activities:

6. Special Drive For Recruitment Of SC/ST Community

7. Death Relief Fund

236

8. Housing Facility

9. Transport Facility

10. Central School

11. Pollution Control And Safety Activities

HUMAN RESOURCE DEVELOPMENT

ITI considers human resources as its valuable asset. It believes that

success for organization may only be achieved through competent and

motivated human resources. That is why, ITI has identified HRD as one of

its priority area and 0.2% of the total turn-over is allocated for HRD on

organization development activities.

Every year training needs of company are assessed Attitudinal,

surveys are conducted once in two years to identify and determine frustrating

aspirations of individuals and groups and to determine deficiencies in skills

and knowledge of human resources for adoption of new technologies short

term and long-term training plans are formulated. Feedback system is used to

evaluate and improve the performance of trainees.

The organizations systems, procedures and practices are continuously

being changed with respect to changes in technology. The brain-storming

workshops of senior officers are continuously organized to find alternatives

to match the systems practices, rules and regulations with changing

237

behavioural pattern of human resources. There are different development

programmes like rotational transfers and temporary posting at strategic post

Senior and top managers are deputed to attend national and international

conferences every year 30% of its total executive strength, 15% of its

supervisors and 5% of workers are developed through different HRD

activities on continuing basis.

INDUSTRIAL RELATION SCENARIO

Prior to 1983 there were multiple union which often led to industrial

problems now for the last 7 years there is single union. The elections for

office-bearers are held every year. This led to peaceful atmosphere and

cordial relationships between workers and management.

238

7.4 DABUR INDIA LTD.

A Brief Introduction

Dabur commenced operations in 1884 and is today multi locational,

multi product enterprise. The company has major interests in health and

beauty care. Dabur is a leader in Ayurveda-the traditional Indian health care

system. The company manufactures and markets a range of oncologicals.

Dabur is one of the few companies in the world to produce Paclitaxel - an

anti cancer drug. The company has developed its own eco-friendly process to

manufacture this drug from raw material stage. The Company has 12

manufacturing plants in India, Nepal and Egypt. Dabur products are also

manufactured in Dubai. Dabur has a transnational network of 19 offices

servicing both rural and urban markets in India. The Company has sales &

marketing offices in Dubai and London. Dabur products are available in over

fifty countries.

Dabur has collaborated with leaders in their fields to set up joint

ventures in India. The joint venture with Agrolimen of Spain, General De

Confiteria India Limited, Manufactures confectioneries. Dabur International

Limited, the joint venture with Bongrain of France, will manufacture

specialty cheese. Dabur has collaborated with Osem of Israel to manufacture

backery specialties and other food products.

239

The story of Dabur goes back to 1884, to a young doctor armed with a

degree in medicine and a burning desire to serve mankind. This young man,

Dr. S.K. Burman, laid the foundations of what is today known as Dabur

India Limited. From those humble beginnings, the company has grown into

India's leading manufacturer of consumer healthcare, personal care and food

products. This phenomenal progress has seen many milestones, some of

which are mentioned below:

1884 -Dr. S K Burman lays the foundation of what is today known as

Dabur India Limited. Starting from a small shop in Calcutta, he

began a direct mailing system to send his medicines to even the

smallest of villages in Bengal. The brand name Dabur is derived

from the worlds 'Da' for Daktar or doctor and 'bur' from Burman.

1896 - As the demand for Dabur products grows Dr. Burman feels

the need for mass production of some of his medicines. He sets up a

small manufacturing plant at Garhia near Calcutta.

Early 1900s - The next generation of Burmans take a conscious

decision to enter the Ayurvedic medicines market, as they believe

that it is only through Ayurveda that the healthcare needs of poor

Indians can be met.

1919 - The search for processes to suit mass production of Ayurvedic

medicines without compromising on basis Ayurvedic principles

240

leads to the setting up of the first Research & Development

laboratory at Dabur. This initiates a painstaking study of Ayurvedic

medicines as mentioned in age-old scriptures, their manufacturing

processes and how to utilize modern equipment to manufacture these

medicines without reducing the efficacy of these drugs.

1920s - A Manufacturing facility for Ayurvedic Medicines is set up

at Nerendrapur and Daburgram. Dabur expands its distribution

network to Bihar and the northeast.

1936 - Dabur India (Dr. S K Burman) Pvt. Ltd. is incorporated.

1940 - Dabur diversifies into personal care products with the launch

of its Dabur Amla Hair Oil. This perfumed heavy hair oil catches the

imagination of the common man and film stars alike and becomes the

largest hair oil brand in India.

1949 - Dabur Chyawanprash is launched in a tin pack and becomes

the first branded Chyawanprash of India.

1956 - Dabur buys its first computer. Accounts and stock keeping are

one of first operations to be computerized.

1970 - Dabur expends its personal care portfolio by adding oral care

products. Dabur Lal Dant Manjan is launched and captures the Indian

rural market.

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1972 - Dabur shifts base to Delhi from Calcutta. Starts production

from a hired manufacturing facility at Faridabad.

1978 - Dabur launches the Hajmola tablet. This is the first time that a

classical Ayurvedic medicine is branded - from Shudhbradhak bati to

Hajmola tablet.

1979 - The Dabur Research Foundation (DRF), an independent

company, is set up to spearhead Dabur's multifaceted research.

1979 - Commercial production starts at Sahibabad. This is one of the

largest and most modern production facilities for Ayurvedic

medicines in India at this time.

1984 - The Dabur brand turns 100 but is young enough to experiment

with new offerings in the market.

1986 - Dabur becomes a public limited company through reverse

merger with Vidogum Limited, and is re-christened Dabur India

Limited.

1989 - Hajmola Candy is launched and captures the imagination of

children and establishes a large market share.

1992 - Dabur enters into a joint venture with Agrolimen of Spain for

manufacturing and marketing confectionery items such as bubble

gums in India.

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1993 - Dabur sets up the oncology formulation plant at Baddi,

Himachal Pradesh.

1994 - Dabur India Limited comes out with its first public issue. The

Rs. 10 share is issued at a premium of Rs. 85 per share. The issue is

oversubscribed 21 times.

1994 - Dabur reorganizes its business with sales and marketing

operations being divided into 3 separate divisions.

1994 - Dabur enters the oncology (anti-cancer) market with the

launch of Intaxel (Paclitaxel). Dabur becomes only the second

company in the world to launch this product. The Dabur Research

Foundation develops the unique eco-friendly process of extracting

the drug from the leaves of the Asian Yew tree.

1995 - Dabur enters into a joint venture with Osem of Isreal for food

and Bongrain of France for cheese and other dairy products.

1996 - Dabur launches Real Fruit Juice which heralds the company's

entry into the processed foods market.

1997 - The Foods division is created, comprising of Real Fruit Juice

and Hommade cooking pastes to form the core of this division's

product portfolio.

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1997 - Project STARS (Strive To Achieve Record Successes) is

initiated by the company to achieve accelerated growth in the coming

years. The scope of this project is strategic, structural and operational

changes to enable efficiencies and improve growth rates.

1998 - The Burman family hand over the reins of the company to

professionals. Mr. Ninu Khanna joins Dabur as the Chief Executive

Officer.

1999-2000 - Dabur achieves the Rs. 1000 crores turnover mark.

2001-2002 - Dabur India's net profit down by 17.3%. Net sales were

Rs. 1163.19 crore. Approves the appointment of Sunil Duggal as the

CEO of the company.

2002 - Dabur demerges Pharmaceuticals business

Dabur India approve the demerger of its pharmaceuticals business the

FMCG business into a separate company as part of plans to provider greater

focus to both the businesses. With this, Dabur India now largely comprises

of the FMCG business that include personal care products, healthcare

products and Ayurvedic Specialties, while the Pharmaceuticals business

would include Allopathic, Oncology formulations and Bulk Drugs. Dabur

Oncology Plc, a subsidiary of Dabur India, would also be part of the

Pharmaceutical business.

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Maintaining global standards

As a reflection of its constant efforts at achieving superior quality

standards, Dabur became the first Ayurvedic products company to get ISO

9002 certification.

Science for nature

Reinforcing its commitment to nature and its conservation, Dabur

Nepal, a subsidiary of Dabur India, has set up fully automated greenhouses

in Nepal. This scientific landmark helps to produce saplings of rare

medicinal plants that are under threat of extinction due to ecological

degradation.

2005 - Dabur acquires Balsara

As part of its inorganic growth strategy, Dabur India acquires

Balsara's Hygiene and Home products businesses, a leading provider of Oral

Care and Household Care products in the Indian Market, in a Rs 143-crore

all-cash deal.

2005 - Dabur announces bonus after 12 years

Dabur India announced issue of 1:1 Bonus share to the shareholders of

the company, i.e. one share for every one share held. The Board also

proposed an increase in the authorized share capital of the company from

existing Rs 50 crore to Rs 125 crore.

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2006 - Dabur crosses $2 bin market cap, adopts US GAAP.

Dabur India crosses $2 - billion mark in market capitalisation. The

company also adopted US GAAP in line with its commitment to follow

global best practices and adopt highest standards of transparency and

governance.

2006 - Approves FCCB/GDR/ADR up to $200 million

Moving forward on the inorganic growth path, Dabur India decides to

raise up to $200 million from the international market through Bonds,

FCCBs, GDR, ADR, QIPs or any other securities. The capital raised will be

used to fund Dabur's aggressive growth ambitions and acquisition plans in

India and abroad.

2007 - Celebrating 10 years of Real

Dabur Foods unveiled the new packaging and design for Real at the

completion of 10 years of the brand. The new refined modern look depicts

the natural goodness of the juice from freshly plucked fruits.

2007 - Foray into organized retail

Dabur India announced its foray into the organised retail business

through a wholly-owned subsidiary, H&B Stores Ltd. Dabur will invest Rs

140 crores by 2010 to establish its presence in the retail market in India with

a chain of stores on the Health & Beauty format.

246

2007 - Dabur Foods Merged With Dabur India

Dabur India decides to merge its wholly-owned subsidiary Dabur

Foods Limited with itself to extract synergies and unlock operational

efficiencies. The integration will also help Dabur sharpen focus on the high

growth business of foods and beverages, and enter newer product categories

in this space.

Eco - Friendly Dabur

Dabur is committed to maintaining the ecological balance. The

company's reforestation programme aims at planting medicinal herbs, plants

and trees in the Himalayan range. Extending into Nepal, this exercise is

actively supported by an in-house tissue culture programme.

Associate and Subsidiary Companies of D.I.L.:

Redrock Ltd.

British Health Products Ltd.

Burman Laboratories Ltd.

Dabon International Ltd.

Maxcare International Ltd.

Precise Laboratories Ltd.

Northern Aromatics Ltd.

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Health Care Products Division

Markets a range of OTC Health care products based on Ayurveda.

Some of its products like Chyawanprash, Hajmola, Hajmola Candy, Pudin

Hara are market leaders with over 65% market share in their respective

categories.

Family Products Division

Markets a range of Beauty care products, toiletries, herbal hair care

products and select foods. Hair oils, Red Tooth Powder, Honey, and Rose

Water are market leaders with nearly 70% market share in their respective

categories.

Ayurvedic Specialties

Based on the ancient Indian Holistic system of Health Care, this is a

range of over 400 medicines. Ethically promoted these include classical

Ayurvedic medicines as well as products developed through in-house R&D.

Foots Division

One of the youngest divisions of the company. Markets a range of

sauces, ethnic pastes and foods. Real fruit juices gave Indian consumer for

the first time, fruit juices with nothing artificial no preservative, no colour

and no flavour added.

248

Cosmetics

Markets a range of beauty therapies under the brand name Samara -

Sanskrit for 'to meet.' This range of hair and skin care products is a fusion of

classical Indian Ayurvedic recipes and contemporary cosmetology.

Pharmaceutical Division

This division has a major presence in anti cancer products and focuses

on niche markets like anti thrombolytic, anti migraine therapy and radio

opaque dyes. Product line includes a range of generic and branded

formulations in wide therapeutic segments.

Bulk Drugs & Chemicals

Dabur manufactures synthetic and semisynthetic bulk pharmaceutical

substances, bulk natural compounds and intermediaries. Isolation of pure

natural compounds and custom synthesis fare focus areas.

Natural Gums

This division manufactures and processes Guar Gums, Gum Karaya,

Tamarind based gums and Psyllium husk. The division produces a range of

industrial and food grade natural gums as per exacting customer

specifications.

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Ayurvedic Veterinary

Deals exclusively in animal health care. Markets safe and not toxic

herbal veterinary products for Poultry, Large and Companion Animals.

These products are manufactured according to traditional Ayurvedic

formulae.

Global

Dabur products are available in over 50 countries. These overseas

markets are serviced by company personnel in London. Dubai and Kenya.

Dabur products are manufactured in Nepal, Dubai and Egypt.

Dabur Research Foundation

Dabur Research Foundation - DRF - is an independent organisation

undertaking research in diverse field like foods, cosmetics, herbal medicines

phytochemicals, phytopharmaceuticals, bulk drugs, allopathic and organic

formulations.

Research in tissue culture and cultivation of medicinal plants is a

thrust area for the Foundation.

DRF has developed and standardised extraction and separation

technologies for isolation of active chemical constituents from plants. These

active constituents isolated in pure from are used in the standardisation of

herbs, development of formulations and various toxicological studies.

250

Quality Objectives

At Dabur, the management is fully committed to quality and ensures

all resources to accomplish this task.

To focus on customers and successfully meet their needs and

requirements.

To manufacture effective health care products at competitive prices

and to improve the quality of life of common people.

To implement systems to ensures prevention of errors rather than

detection of errors.

To ensure global competitiveness by striving to achieve current good

manufacturing practices (GMP).

To ensure safety in all operations and to follow the systems in all areas

of operations.

To continuously train people to build up their skills and expertise and

thus involve them to become committed to the quality process.

To reduce wastage's within the organization and increase productivity.

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Level Structure Of The Organisation

Level Designation

General Manager

Dy. Gen. Manager

Class / Grades

1. Senior Manager

2. Manager

3. Astt. Manager

4. Officer

5. Astt. Officer

6. Supervisors/Chemist

7. Senior Mech/Sr. Astt.

8. Mech/Jr Chemist

9. Jr Mechanic

10. Workers /Casual

Factories:

West Bangal

Narendrapur, Pargans

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Garia, Pargans Overseas Offices

Bihar Dubai, U.A.E.

Daburgram London, U.K.

Ramadan City, Egypt

Rajasthan

Alwar

Uttar Pradesh

Sahibabad, Ghaziabad

Himachal Pradesh

Baddi

Nepal

Kathmandu

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7.5 MOHAN MEAKIN LIMITED

A Brief Introduction

Mohan Meakin Ltd. Lucknow distillery, officially established in 1855

but the evidence in the form of bricks dated 1820 were discovered which

shows that it was probably come into existence in 1820. In 1855, an English

man Edmard dyer established a brewery at Casually. He was the first man

who bought the first thrills of modern beer, at the same time another English

man H.G Meakin decided to set up the shop on the sub-continent and there

after founded the firm Meakin and co. during the First World War, when the

import of hard task, the two firms supplied cheap and good quality beer in

the sub-continent.

After the successful phase, the two firms DYER & CO. and MEAKIN

& CO joined hands began a new venture under the name Dyer & co. in

1935, when Burma was separated From India the company was recognized

with its Indian assets and named Dyer's Meakin Ltd.

After India's independence in 1949, the management was taken over

by the Padam Shree Late N.N Mohan the foundry father of Mohan Meakin

Breweries ltd. Under the leadership of Late. N.N Mohan in 1969 the reigns

of bustling, conglomerate fell into the hands of his sons Col. V.R Mohan and

Brig. Kapil Mohan, assisted by their father's vision they laid the foundation

of Mohan Nagar industrial complex at Ghaziabad.

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A part of the liquor the other Meakin product that began to view for

good quality profile were mineral water, cornflakes, Mango nectar and

Apple juice. Among the companies Diversification plans and proposals to

enter in the cement, Steel Metals and allied Products. It was there

transformative inclinations that lead to the company to rename Itself in 1980

as Mohan Meakin Ltd. Manufacturing activities of the company also spread

Into other fields under the dynamic leadership and guidance of Brig. Kapil

Mohan the Younger son of Mr. Mohan.

In the year 1982 the world Breweries was dropped from the name of

the company to Remove the impression that the company is engaged only in

beer making. In India Mohan Meakins has provided technical expertise to:

The Mohan Gold Water Brewery Ltd, Lucknow

Mohan Rocky Spring Water Brewery Ltd. Maharastra

Mount Shivalik Brewery Ltd, Punjab

Artos Brewery Ltd, Andhra Pradesh

Nagaland Distilleries Ltd. Nagaland.

Mohan Brewery and Distilleries Ltd. Chennai.

Golden Drinks Private Ltd., Gwallior

Maharashtra Distillers, Nagpur

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In keeping with the time, Mohan also entered in the international

market and started exporting breweries to many countries such as USA, UK,

Japan, Western European and Middle East nations. A distillery and glares

factory was set up by Meakins personnel's at Nairobi and Kenya along with

breweries set up in Nepal and Bhutan.

A saga that begins over and century and quarter ago continue on its

path of service of the nation with dedication, courage and unflinching

commitment of quality, over the years the same like Integrity, Craftsmanship

and Tradition etc.

Lucknow Distillery:

This establishment is well knows and recognized by the name of

Mohan Meakin Limited Lucknow Distillery, Lucknow. The registered office

is situated at Solan brewery Himachal Pradesh. Mohan Meakin Limited

Lucknow Distillery is situated at Daliganj township of Lucknow, Sitapur

road.

The campus covers and area of 12800 sq ft encompassing the factory

Administrative block stores, Auditorium, Canteen, and Dispensary. The

distillery has production capacity of 48 lakhs alcoholic liters per annum that

is around 3600 bottles per shift. The Lucknow Distillery is headed by Mr.

R.K. Sharma, the CEO. He is supported by dedicated staff. The Organization

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is departmentalized on basis of factions with each department. The Company

permanent, Temporary, probations.

The company has recently started the scheme under which trainees are

taken in various departments. The company has maintained good healthy

relations with the workers.

Infrastructure

There are 5 pouching automatic machines and 5-semi automatic

bottling machines, also a separate effluent treatment plant along with boiler

at present.

Pot Still Plant:

This is purely indigenous plant situated in distillation section for the

purpose of manufacturing spirit (C2H2OH) which is raw material for

manufacturing the liquor.

Caffey Plant

An indigeneous plant required for large amount of production of spirit

is production of spirit is situated in distillation section of production

department. This plant came in use when required.

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Effluent Plant

The faction of this plant is to release uncontaminated water into river,

steam of waste. The effluent collected through distillation and fermentation

is treated with BOD under the law of prevention and control board of

pollution.

Units of Mohan Meakin Ltd.

Solan (H.P.) : Brewery Distillery & Bottling

Kassauli (H.P.) : Distillery

Lucknow (U.P.) : Brewery Distillery & Bottling

Mohan Nagar (U.P.) : Various unit, many Distillery,

Brewery and glass Factory and Fruit

products

Mohan Gram (U.P.) : Distillery & Brewery

Unit Of Collaboration

Tamilnadu : Brewery & Distillery

Andhra Pradesh : Liquor Bottling

Maharashtra : Brewery, Liquor & Bottling

Punjab : Liquor Bottling

Madhya Pradesh : Liquor Bottling

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Bhutan : Three units of distiller & Liquor bottling

Nepal : Two Liquor Bottling unit & brewery

Kenya : Distillery & Liquor

Harayana : Liquor Bottling

Goa : Liquor Bottling

Kerela : Liquor Bottling

Brief Particulars of Lucknow Unit

Unit : Mohan Meakin Ltd.

Location : Daliganj, Lucknow

Year of Incorporation : 1855

Chief Executive Officer : Mr. R.K. Sharma

Land Area : 100203.94 sq mt

Covered Area : 51844.71 sq mt

Sanctioned Power Land : 1200 KVA or 960 KVA

Power Generator Capacity : 310 KVA or 248 KVA

Production Capacity : 15 KL per day

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Department In Mohan Meakin Ltd. Lucknow Distillery

1. Security Department

2. Time Office

3. Transport

4. Labour Office

5. Welfare Department

6. Account Department

7. Finance Department

8. Sales Department

9. Store Department

10. Foreign Liquor Department (Fld)

11. County Spirit Department (Csd)

12. Water Treatment Plant (Wtp)

13. Effluent Treatment Plant (Etp)

14. Central Labour (Work Shop)

15. Co2 Department

16. Boiler Department

17. Distillery Department

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18. Electronic Data Process (Edp)

19. Purchase Department

20. Transport Department

21. Fire Fighting Department

Facilities Provided To The Employees At Mohan Makin Ltd. Lucknow

Statutory Facilities

Industrial Canteen:

Under sec. 46 of the factories act, 1948 it is statutory requirement of

the employer to provide the necessary canteen facilities where more than

250 workers ordinarily employed in any one day of proceeding 12 month in

the factory. The canteen has to be run on no loss no profit basis.

Maintenance of Canteen:

Management provides to canteen contractor the furniture, the

electricity for lighting, drinking water, urinals etc. The canteen contractor

charges the rates fixed by the management committee. The canteen

contractor is to be responsible for maintenance of building, electricity,

furniture and utensils etc.

Restroom Facility:

Under sec. 47 of factories act make it is necessary to provide proper

clean and ventilated restrooms, where more than 150 workers are ordinarily

261

employed 40-50 beds are provided to the workers for resting. Cooler, fans,

dining tables are also provided in rest room for the workers.

Drinking Water Facilities:

Cold and clean drinking water is provided by water coolers at various

places in Factory premises. Cleaning of water coolers is done periodically.

Various methods used for purification of water.

Safety Provision:

Under factories act, 1948 it is statutory, that adequate safety measures

are to be adopted by the employer in order to take care of the workers.

Safety provisions made by the employer are:-

1. Personal protective appliances line-

Goggles

Helmets

Metal aprons

Gum boots

Gloves

2. Organizing safety programs to create awareness

3. Import safety training against fire, working on hazardous machines, traffic

rules within factory premises etc.

262

Appointment of Labour's Welfare Officer:

Under sec. 49 of the factories act, 1948 it is required to appoint a LWO in

an organization where 500 or more workers are employed or were employed

in any day of preceding 12 months.

First Aid Facility:

Under factories act it is mandatory for a company to provide first aid

facility to the employees. The first aid box is equipped with all the necessary

medicines, bandages, syringe etc., which are the basic requirement at the

first instance when an accident occur. The first aid box is kept at such a

place from where it is easily in the reach of any employee. It is mark with a

red colour cross so to identify easily. The company provides first aid boxes

in different departments in adequate numbers. Washing room Facility the

company provides clean proper room facility to male and female worker

separately. There is a 24 hours water supply A soap and a towel are kept for

the workers. Cleaning of the washing room is dine on daily basis by the

concerned person by soap.

Sitting Facility:

According to the factories act 1949' the company provides sitting facility

in those departments where a worker needs to stand for the longer hours due

to the nature of the job. It is done so that he can relax for a while and can

start his work afresh.

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Non-Statutory Facilities

Non-statutory facilities are those welfare facilities which an employer

may or not provide. They don't have a legal binding. The non statutory

welfare facilities work as a motivating factor. The company provide these

facility to drive out the maximum from the workers and to create healthy

working atmosphere.

Following are the non-statutory facility:

Housing Facility

150 house have been constructed in the company campus, The

company pays an HRA to those don't stay in the campus. HRA 10% is

deducted if an employee stay in the campus.

Transport facility

It is made available on the employees get conveyance allowance.

Medical facility

Well stocked dispensary is situated in the premises where a physician

is available for two hrs on Wednesday and Saturday. The dispensary is

acquired by medicines and instruments.

Loan facility

The company provides loan and advance to the employees as and

when required. The loan amount depends on the reputation of the employee,

264

which he enjoys in the company. The repayment is done in easy installments

so that employee doesn't feels any burden.

Uniform facility

One pair of uniform is to be given to every worker, peons and drivers

of the company once a year. Besides this one pair terrycoat uniform is also

given to each and every worker and one pair of shoes is also given once in a

year to work in the factory.

A separate set of facilities are available for the security men. They too

are provided by the above means. A part from this they are provided with

pullovers, woolen coat, woolen shirts and trouser, long coat, cap, woolen

stocking, boots and arms, viz riffles, guns, cartridges etc. They are also

provided by the belts, bucks and whistles for their use.

Social Security Scheme

Under this the company provides various social security scheme to the

employees so that they can work with a free mind. These scheme work as a

motivating factor for the employees.

The scheme provided are:

Employees Provided Fund scheme 1952

Employees Family Pension scheme 1971

Workmen's Compensation Act 1923

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Maternity Benefits Act 1961

Mohan Staff Welfare scheme

Employee State Insurance Act 1948

Cultural and Entertainment

Every year on the Labour day employee take part in various cultural

activities at Mohan Meakins. Workers are sent to historical and religious

places on company expenses along with their families ever year.

Tournament are organized in the month of October on a/c of Founder's Day.

Education Facility

Workers are given loans and advances in case of admission and

purchase of their children.

266

7.6 MAWANA SUGAR WORKS LTD.

A Brief Introduction:

Mawana Sugars Limited (formerly known as Siel Limited) ('Mawana

Sugars' or 'the Company,') emerged as an independent entity in 1989 out of

the restructuring of the erstwhile DCM Group.

Mawana Sugars has been engaged in the business of manufacture and

selling of chemicals, sugar and edible oils.

Mawana Sugar Works, Mawana is a unit of Delhi Cloth and General

Mills Ltd. (D.C.M.), Delhi. This sugar mill was shifted from Barhani,

district Basti or Eastern U.P. in 1948 and installed at Mawana, about 28 km

from Meerut or Meerut-Parikchit Garh Road. Crushing capacity of this unit

is 4700 to 5700 tons of sugarcane per day. Like other sugar mills, this mill is

also seasonal. the season is generally from November to May. It also

depends upon the production of sugar cane. The Principal Product is sugar,

molasses and vegasse are the secondary products. The Principal Product is

sugar, molasses and vegasse are the secondary products. The mill is in the

form of a joint stock company.

Management

The Board of Directors of Mawana Sugars comprise of:

Mr. Siddharth Shriram (Chairman & Managing Director)

267

Mr. Sunil Kakria (Managing Director)

Mr. K.P. Singh (Whole Time Director)

Mr. A.K. Mehra (whole Time Director)

Prof. Dinesh Mohan (Director)

Mr. N.K. Goila (Director)

Mr. D.C. Mittal (Director)

Mr. Ravi Vira Gupta (Director)]

Mr. R.S. Bedi (Director)

Ms. Anuradha Dutt (Director)

Major Shareholders

Shareholder Percentage

Promoters 61.09%

NRIs, Pakistanis, OCBs & GDRs 1.85%

Institutions, Mutul Funds and Banks 3.27%

Others 33.79%

Social Face of Mawana Sugars

A business unit doesn't exist to generate surplus alone, rather it is a

constituent of the composite social structures and systems and as a

268

responsible member of the society it is incumbent upon business

organizations to relate with the society as a whole and the surrounding

community in particular by working for their betterment and welfare.

At Mawana Sugars it is managements continuous endeavor to evolve

and initiate activities for the development and betterment of the surrounding

community it Rajpura and several programs have been initiated to achieve

this noble goal.

To promote the cultural heritage of our nation, management had

organized Dance and Drama 'RAM' shows by the internationally renowned

troupe, SBKK, for the local community. A number of health check up camps

and sports activities have been organized for the surrounding villages.

School children are being regularly invited to the organization on occasions

such as World Environment Day to promote environmental awareness

through activities like tree plantations, painting competitions, debates and

discussion etc. Extending the intiatives further, management have also

adopted a linear stretch of land in the Rajpura city and worked on improving

its aeathetic look by way of plantation beautification.

The position of labour development of Mawana Sugar Works,

Mawana has been given in below table.

269

7.1 Table shows Position of permanent, seasonal permanent and

temporary workers in Mawana Sugar Works, Mawana.

Month Permanent Seasonal

permanent

Temporary

(Monthly Average)

Total

September 410 205 160 775

October 410 207 162 779

November 410 204 165 779

December 410 1590 615 2615

January 410 1590 615 2615

February 410 1590 618 2618

March 410 1590 518 2518

Table 7.1 given above exhibits that the permanent workers remain

stable during of the off season. Seasonal permanent works remain stable

during the crushing period, but during the off season it also mostly remain

stable. The number of temporary worker fluctuates according to the nature

of work and/or increase or decrease in work. Generally, the crushing season

starts from November and lasts upto March.

270

However, in the month of September, total number of workers was

recorded to be 775 consisting permanent, seasonal permanent and

temporary. It rose to 2618 in the month of February which declines to 2518

in March.

Encashment of Unveiled privilege/Earned leave

An amount equivalent of cash value of privilege leave/Earned leave

due as per rules up to date of voluntary retirement.

Provident Fund

Payment of full shape of employer's contribution to the provident fund

along with employees share including interest on total accumulation.

Gratuity

Gratuity as admissible under rules up to date of voluntary retirement.

Travel Cost Re-imbursement

The employee and his family would be entitled to travel by entitled

class to their declared home town.

Application

Eligible employees desiring to seek voluntary retirement may submit

their application in the prescribed performa to the competent authority

through proper channel.

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General

Ordinarily employees desiring to seek voluntary retirement shall be

effective from the last date of the month in which the decision on the

application for voluntary retirement is communicated. However, when the

date of decision on close to the end of the month, the effective date for

voluntary retirement will be last date of the next month. This condition can

be waived by the Competent authority at its discretion.

Ordinarily, the resultant vacancies arising out of voluntary retirement

shall not be fitted up. (Only in exceptional of the competent Authority.)

Various Welfare Scheme:

Welfare activities are provided by all Organisations to maintain the

employees living standard as well as overall development of his keen

interest towards to goal. There are two type of welfare activities under as

follows.

A - Welfare Statutory - These activities are provided as per law.

B - Welfare Optional - These are voluntary activities provided by the

company to the employees concern.

Statuary Activities:-

A. First Aid - There are 5 compound's under one in charge. There is also

a facilities of a ambulance.

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B. Canteen - Canteen is also provided by the organisation with

Accommodation of Tea, Lunch & breakfast.

C. 1 kg Milk powder & 2 kg. "Gur" for those Employees who can

involved in the hazardous process of work like furnace & galvanizing

process.

D. E.S.I. facility is available to those employees Whose carvings is less

than Rs. 3000/-

E. Bonus - 8.33 t0 20% Salary.

F. Provident - 10% of Salary.

Discipline

Discipline is the force that prompts an individuals or a group to

observe the rules, regulations and objectives.

Disciplinary Action

Disciplinary action can be taken against any employee violating the

rule and regulations of the M.S.W. standing order's Disciplinary authority

can be appointed by M.D. or personal Dept. is charged the disciplinary

actions.

A charge sheet is issued against the person mentioning their charges

and asked for clarification to disciplinary authority. An inquiry is set to

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investigate the charge. If charges are found correct than employee will be

punished as to his crime.

Penalties

There are 2 types of penalties

Minor Major

Censure Suspension should not more Days.

Fine with holding of increment, removal dismissal Or promotion.

Promotion

In the Organization promotion is considered on the following basis:

A. Merit

B. Efficiency

C. Past performance

D. Qualities

Eligibility for promotion

Employee shall be eligible for promotion provided :-

1. For Executive - He has completed 3 year of his service.

2. For Non Executive - He has completed 2 year of his service. The

vacancies of M.S.W. shall be filled by making grade promotion.

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The merit efficiency & performance shall from the basis for grant of

promotion in case of technical & non technical cadres.

The seniority subject to suitability govern promotion to non-executive

posts of technical & non technical cadres.

Transfer:

There is sound transfer police of M.S.W. Transfer have been made

between departments. Generally employees are responsible for initiating &

approving transfers. There are 3 type of transfer being made.

1. Production transfer is made from one deptt. to another department.

2. Versatility Transfer - Versatility transfer are those in which the

employees are transfer from one job to another job to make

versatility.

3. Shift Transfer :- In this type of transfer employees transfer's one

shift to another

Recruitment & Selection Procedure in M.S.W.

All the recruitment of the service of the services of the M.S.W. will be

made by M.D or by C.G.M. or the P.M. or such other officers as may from

time Authorised by the company in that be half.

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Till such time the standard force of the company is not in a position,

all nearly created and resultant posts will be filled in the following ratio by

promotion of the existing suitable candidates and by open advertisement.

All the recruitment of M.S.W. are processed through P&A Deptt. the

approval of M.D.'s required before filling of any post the process is an laid

down for public sector in India.

Notification by dept. consult of P&A.

Notification of P&A Dept. of local and central employment

Exchange.

Advertisement are also given on all India level for higher post.

Interviewing after careening the application of panel consisting of

representatives of the Dept. Concerned with P&A.

Industrial Relations :

The Industrial Relation is defined as the Relationship between Man

machine and Material for optimum utilization. There is three M's i.e. Man,

Machine, Material.

The function of industrial relation of M.S.W. can be given below.

To have balanced and good relation with trade union.

To create a work culture in the M.S.W.

To have a proper information about other Department.

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The M.S.W. should adopt new technology and aspects. The P.M.

should be very through about law and special in Industrial Dispute act.

Performance Appraisal

The M.S.W. has very good performance appraisal system. The performance

of the executive & non executive employee is Rated usually, but the

technical employee's performance are rated quarterly. After taking quarterly

rated performance is used.

7.7 IDENTIFICATION AND EVALUATION OF THE BENCH

MARKS FOR THE INDUSTRIAL RELATIONS IN THE

ORGANISATIONS UNDER STUDY

Bharat Heavy Electrical Ltd. (Bhel)

A. Career Planning:-

(1) Promotion :- Seniority basis, Time bound, Merit

(2) Training

(a) Manager/Executive :- Competence, contact programme.

(b) Workers :- On the job, of the job vestibule apprenticeship.

(3) Motivation :- Promotional Programme

(4) Recruitment :- Outside-at lower level

(5) Selection :- Written test, interview

(6) Grievances :- Counselling, managerial level.

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(B) Welfare Areas :-

Educational, Recreational Medical Transport and others.

Welfare Management :- HRD/Personnel Deptt.

C. Performance Appraisal :- Annual Report /ACR.

D. Worker's Participation :- No participation in decision making.

E. Trade Union :- Participation & supportive but some time opposite.

(a) Industrial unrest :- Strike 3 year back.

F. Association :- No management and executive association.

G. Social Responsibility :- Employee social development programme.

H. V.R.S. :- Applicable

CONCLUSION & SUGGESTIONS :-

Workers work with confidence as the factory provides required safety

measures, no complain in this regard in noted.

No concrete plan for future but open to adopt any change in industrial

relations. Grievances are handled from its beginning. Company is providing

all modern welfare amenities to its workers, creating an environment of trust

and confidence. The changing economic scenario has invariably affected the

organisation and lack of order has given worth to problem of over staffing.

and to cope with the problem. The company at corporate level has

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introduced voluntary retirement scheme, instead of retrenchment. The

company pays allowances as per post and seniority.

In all over industry total numbers of trade unions are seven and in

general their relations with management are cordial.

Least But not last it would be fare to conclude that BHEL a public

sector organisation is an example of better industrial harmony.

IFFCO FINDINGS

(A) Career Planning :-

1. Promotion :- Time bound, Seniority basis, Merit.

2. Training

Area Methods

(a) Manager/Executives:- Conference, Reading material, Lectures,

(b) Workers :- On the job apprenticeship.

3. Motivation :- Partial, Others

4. Recruitment :- Internal and external.

5. Selection :- Selection, interview, Psychological test.

6. Grievances :- Counseling

(B) Welfare Areas :- Educational, Recreational, Medical, Transport.

Welfare management :- HRD personnel Deptt.

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(C) Performance appraisal:- Performance, ACR, Secret.

(D) Worker's Participation :- Participation on operating level.

(E) Trade Union :- One, supportive, cordial

(a) Industrial unrest :- No strike.

(F) Association :- Officer's Association.

(G) Social Responsibility:- Development of near by society &

Environment.

(H) V.R.S. :- Yes it should be taken on own's will.

CONCLUSION :-

Safety measures are provided as per factory Act but there is a need of

fire and safety department in IFFCO. Grievances are handled by counselling

in management style. They have undertaken a lot of society development

programme near by society. Executive believes that industrial harmony can

be achieved by improving working condition and participation of workers.

Payment system is based on government policy and as per organisational

norms. IFFCO is far away from strike but grievances of T.U. are usual of

which are handled timely & effectively. It has provided employment

opportunities to the near by village families and has also welcome to

displaced villagers for their rehabilitation.

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SUGGESTIONS

IFFCO Unit of Phulpur is an efficient unit, which enjoys good

organisational culture and working condition. Some suggestions

for better industrial relations may be --

The study showed 75% who are not adamant to change (young

managers) while 25% resist. This suggest younger managers

should be encouraged to participate in change process.

Only 40% out of total managers are flexible to change, so it is upto

the personnel dept. to encourage level of flexibility by conducting

sessions for organisational behaviour.

The personnel dept. should give emphasis on identifying problem

areas, and while implementing change should adopt innovative and

creative ways to make change acceptable by training and

development of employees, and involvement of employees in

change.

The managers and employees should develop themselves and their

intellectual abilities, flexibility so as they can accept change.

Managers should make the employees understand that there is no

substitute for change.

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MAWANA SUGAR WORKS LIMITED

(A) Career Planning :-

1. Promotion:- Seniority Basis, Time Bound

2. Training :-

(a) Manager/executive Conference, lectures, contact

programme

(b) Workers On the job, Apprenticeship.

3. Motivation Financial, Promotional

4. Recruitment Internal and external.

5. Selection Interview, written test.

6. Grievances Counseling, committee.

(B) Welfare areas Educational, Medical, Transport,

Canteen.

Welfare Management HRD/Personnel Deptt.

(C) Performance Appraisal Quarterly Report

(D) Worker's Participation Participation is involved

(E) Trade Union Participative, supportive Coordinal

(a) Industrial unrest Strike before 25 years ago

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(F) Association MSW Executive Association

(G) Social Responsibility Employees social development

programme

(H) V.R.S. Applicable

CONCLUSION & SUGGESTIONS:-

Mawana Sugar Works Ltd. believes that industrial relations exist

better working condition for future planning Mawana Sugar Works Ltd.

wants to develop the society with the help H.R.D. and open to adopt the new

change in training of worker's supervisors and managers and wants

participation in decision making of trade unions. Workers work with

confidence and safety measures, provided as per legal aspects but applicable

in production, grievances are handled from its beginning. Mawana Sugar

Works Ltd. is taking important steps in developing the society for future and

this is a best example of industrial harmony due to even not a single strike

for last 25 years.

The Mawana Sugar Works Ltd. in a profitable unit enjoying a healthy

organisational culture and has ideal working conditions. The unit although

has very cordial industrial relations. However some further suggestions to

improve its industrial relations are - The radical changes in the policy matter

related be implicated only after taking all stake holders in confidence. The

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organiusational behaviour can be improved by conducting different sessions

for employee benefits, early identification and redression of the employees'

problem, work allocation suited with intellectual capabilities of the

employees.

MOHAN MEAKIN LTD

(A) Career Planning :-

1. Promotion:- Seniority Basis, Time Bound, Merit.

2. Training :-

(a) Manager/executives Contact programme, conference

(b) Workers On the job, Off the job, vestibule

Apprenticeship.

3. Motivation Financial, Promotional Psychological

4. Recruitment Internal and external.

5. Selection Written test, Interview

6. Grievances Absolute, Committee, Negotiation

(B) Welfare areas Educational, recreational, medical,

transport

Welfare Management Personnel/HRD

Performance Appraisal Performance, Confidential Six montly,

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Merit ACR, Secret

(D) Worker's Participation No Participation of worker's but only

Operating level.

(E) Trade Union Supportive, cordial.

(a) Industrial unrest No strike

(F) Association MML Executive Association

(G) Social Responsibility Employee Social Development

Programme

(H) V.R.S. Applicable

CONCLUSION:-

MML believes that for better industrial harmony there is a need of

improving working condition and improvement in training programme.

There should be a healthy understanding between management and workers.

All facilities provide as per law but some of them are not available for

workers. Trade Union in Mohan Meakin Ltd. believes that if workers are

invited in decision making it can make better industrial Harmony. There is a

job satisfaction, which help in maintaining industrial Harmony.

SUGGESTIONS:

MML is the private sector unit, which manufactures the liquors.

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MML is economically sound organisation which depends on the

orders, MML needs change in every aspect whether it be in

personnel, marketing, production, technological or in other.

As VRS scheme is unsuccessful in the organisation. If the

management think itself to implement VRS, it should take advice by the

consultancies so that after taking the VRS by its employees the much of the

overhead cost can be cut. It is important to cut the manpower. They should

be well managed by the consultancies. The management should also counsel

the employees so that they can get satisfaction.

DABUR INDIA LTD.

A. Career Planning

1. Promotion:- Time bounds, Merit, Seniority, qualification.

2. Training

(a) Managers/Executives:- Conference, lecture contact

programme.

(b) Workers :- on the job, apprenticeship.

3. Motivation :- Promotional Policy.

4. Recruitment :- Internal and External

5. Selection :- Written Test, interview, psychological test.

6. Grievances :- Committee, legal action, counseling.

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B. Welfare Areas

Recreational, medical, transport, canteen.

Welfare Management-Personnel/H.R.D.

(C) Performance

Performance, confidential, six monthly, merit, secret.

(D) Worker's Participation

Participation of worker's only on operating level.

E. Trade Union Nos. (Three Unions, Cordial Relations).

(a) Industrial unrest-No strike

F. Association :- No

G. Social Responsibility

Development of society, employee and Pollution Control

H. V.R.S.

Applicable above 50 years.

CONCLUSION & SUGGESTIONS :-

Hospital, transport, canteen & library etc. are provided as a welfare

facility and safety measures are applicable in production machine and health.

Grievances are handled in beginning on the basis of contact. Workers are

working with full confidence and treated as family members. Allowances are

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based on post. There is a cordial relationship between the Trade Union and

Management. Management believes that Industrial Harmony can be achieved

by improving working conditions and by improving training programme DIL

plans for better oral facility.

INDIAN TELEPHONE INDUSTRY (I.T.I.)

A. Career Planning

1. Promotion:- Seniority basis, Time bound.

2. Training

(a) Managers/Executives:- Conference, lecture contact

programme.

(b) Workers :- On the job, Apprenticeship.

3. Motivation :- Promotional, Others.

4. Recruitment :- Internal and External

5. Selection :- Written Text, interview

6. Grievances :- Counseling.

B. Welfare Areas

Welfare Areas:- Educational, Medical, Transport, Recreational.

Welfare Management - HRD Personnel Deptt.

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(C) Performance Appraisal

A.C.R. (Annual Confidential Report)

(D) Worker's Participation

No participation on management level.

E. Trade Union

Participative, but sometimes opposite (Mazdoor Sangh)

(a) Industrial unrest :- Strike before 10-12 years ago.

F. Association :- Officer Association

G. Social Responsibility

Employees Social Development Programmes.

H. V.R.S.

Applicable

CONCLUSION :-

According to I.T.I. better working conditions are helpful in

maintaining good industrial relations. For future planning I.T.I. wants the

development of the society. V.R.S. are applicable as per policy. Grievances

are handled by the personnel department. I.T.I. always work for the

development of the society and work for the employee. I.T.I. is able for

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maintaining the industrial harmony because not a single strike for last 10 or

12 years.

SUGGESTIONS

ITI is one of major players in the telecom industry, which received

major jolts due to privatisation and stiff competition from private

players. The management and workers should know and recognize

that it is high time to adopt change for betterment of ITI.

The management should take certain harsh steps to increase the

pace change even though it is being resisted.

The management have to reduce the no. of employees. It has to

strictly implement VRS scheme and make employees understand

that there is no place for inefficient employees.


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